H.B. Fuller Company (FUL)

Chemicals

H.B. Fuller, a leading worldwide manufacturer of adhesives, sealants and other specialty chemical products, made a transformative acquisition in October 2017 with the purchase of Royal Adhesives. The acquisition is expected to drive substantial revenue and EBITDA growth, though it also substantially increased leverage, leading to ratings downgrades from Moody’s and S&P. However, leverage remains well inside the Company’s leverage covenants, and management’s guidance indicates that leverage should likely decline this year.